How to Calculate an Annual Payment on a Loan
Taking out a loan requires an understanding of not only the rate at which you will have to pay back the principal of the loan (the amount that you borrow), but also the rate at which you will be charged interest on that loan. Calculating annual interest paid on a loan can you help determine if you can afford a certain repayment schedule or help you decide between available loan options to find the best one for your current situation. It will also ensure that you’re not surprised when the bill comes in the mail. Follow these simple steps to calculate your annual loan payment.
Method One of Two:
Calculating Annual Payments on a Loan Edit
Method Two of Two:
Calculating Periodic Payments On A Loan Edit